Analysis of the Relationship between State Budget Realization and Findings of Weaknesses in Public Sector Audits

Abstract

This study examines the relationship between the realization level of the State Revenue and Expenditure Budget and the number of weaknesses identified in the Audit Reports issued by the Audit Board of the Republic of Indonesia. Using a quantitative correlational approach, the research relies on secondary data obtained from BPK audit reports to analyze the relationship between budget realization (X) and audit weakness findings (Y). The results of the Pearson correlation test indicate a positive relationship with a correlation coefficient of r = 0.450; however, the relationship is not statistically significant (p = 0.447). These findings suggest that the level of State Revenue and Expenditure Budget realization does not have a significant association with the number of audit findings related to weaknesses in public sector management. Other factors, such as the effectiveness of internal control systems, governance quality, and human resource competence, are likely to play a more substantial role in influencing audit outcomes. The limited sample size covering only five years (N = 5) also reduces the statistical power of the analysis. Consequently, budget realization cannot be used as a direct indicator of internal control quality, and further research with broader variables and longer observation periods is recommended.